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The Ministry of Corporate Affairs is expected to take a final decision regarding its course of action in the NSEL payment crisis in the next few days.
“Ministry of Corporate Affairs is examining (NSEL’s) non-compliance with the Companies Law and in a day or two, we are going to take a final decision on what needs to be done,” Corporate Affairs Minister Sachin Pilot told reporters here today.
He was speaking on the sidelines of a conference organised by industry body FICCI on ‘Companies Act 2013’.
Pilot assured that action would be taken against companies which “wilfully non-comply” with the Companies Law.
He added that the inter-ministerial panel, headed by Economic Affairs Secretary Arvind Mayaram, which is looking into the NSEL (National Spot Exchange Ltd) issue, is likely to submit its report today or by tomorrow.
NSEL is facing a crisis of settling Rs 5,600 crore dues to 148 members/brokers, representing 13,000 investor clients, after its trade was suspended on July 31 by government order.
Multi-level marketing cos
Asked about guidelines relating to multi-level marketing companies, the Minister said that he has requested Consumer Affairs Minister K.V. Thomas “to issue the guidelines so there is clarity on what is acceptable and what is not acceptable’’.
“Hopefully in the next few weeks we will have more clarity on multi-level marketing companies...we must differentiate the law abiding good companies from the ones that are misusing the loopholes and are duping people of there investments,” Pilot said.
Some cases of some multi-marketing schemes duping investors of money with the promise of high returns have been reported.
Damodaran panel report
To another query, Pilot said the Damodaran panel report on improving business climate in the country is been examined by his ministry.
“...the idea is to take the report and some other inputs we have received and make sure that India’s ranking and investment position is better,” he said adding that the state governments and the Centre need to work together to create a better investment climate for the country.
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